East Anglian farmers see average profits drop 70%

UK - Farmers in East Anglia are making only a third of the profits they made 10 years ago, according to a survey of farmers in the region.

Producers in the area made an average profit in 2005 of £139/ha (£56.30/acre), including the single farm payment. But without that money, the average farm made a loss of £39.50/ha (£16/acre).

The findings come from an annual survey of 112 farmers across Norfolk, Suffolk, Cambridgeshire and Essex. Conducted by accountant Larking Gowen, the survey blamed the poor profits on crop prices and changes to farm subsidies.

Moving to the SFP had caused a "permanent reduction" in subsidies, while delays in receiving the payment had pushed finance costs up by 28% to £67/ha (£27/acre), the survey said.